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DECREE No

DECREE No. 88-CP ON THE 17TH OF AUGUST, 1994 OF THE GOVERNMENT ON MANAGEMENT AND UTILIZATION OR URBAN LAND

THE GOVERNMENT

Pursuant to the law on Organization of the Government on the 30th of September, 1992;

Pursuant to the Land Law on the 14th of July, 1993;

At the proposals of the Minister of Construction and the General Director of the General Administration of Land.

DECREES:

Chapter I

GENERAL PROVISIONS

Article 1.- Urban land is the land in inner cities and inter towns and townships as stipulated in Article 55 of the land Law.

The land on the outskirts of cities and towns which has been designated for urban development by the competent State authority is also considered urban land.

Article 2.- Based on the main purpose of utilization, urban land is classified into the following categories:

1. Land for public service.

2. Land for national defense and security purposes.

3. Land for housing.

4. Land for special use.

5. Land for agriculture and forestry.

6. Unused land.

Article 3.- Land for public service is composed of:

1. The land assigned by the State to organizations for use on the basis of the programs and plans already approved by the competent State authority and in line with the concrete functions and tasks of those organizations.

Any change in the purported use of the land plot or any assignment of its use right must be decided by the competent State authority which has assigned the land plot.

2. The Heads of the organizations with land assignments are responsible for registering them with the land administration and for implementing all provisions of law on land and urban development.

3. The organizations which are assigned to use land in this category are not required to pay land-use fees and taxes.

Article 4.- The management and use of land for national defense and security shall comply with a separate Government decree on the land for national defense and security, and with the provisions of this Decree on planning, architecture and protection of landscape and environment.

Article 5.- The management and use of land for housing must comply with Decree No.60-CP on the 5th of July 1994 of the Government on the rights to house ownership and to use housing land in urban areas.

Article 6.- The management and use of land for special use in urban areas shall comply with a separate Government decree and the following provisions:

1. The State shall consider assigning land to organizations, households and individuals for long-term use on the basis of the already approved urban plans and the actual practice in land use in the localities.

2. The person assigned with land must register it with the land administration and implement all provisions of law and obligations to the State for his/her assigned land plot.

3. With regard to land of special use for business purpose, the State shall, depending on the nature of the business as well as the land-using process, determine the financial obligations of the persons assigned with land in a decree on land of special use.

Article 7.- The management and use of agricultural and forest land in urban area shall comply with Decree No.64-CP on the 27th of September, 1993, and Decree No.2-CP on the 15th of January, 1994. The organizations and individuals that use land for agriculture and forestry in urban areas shall comply with the provisions on environmental protection and urban sanitation, urban landscape, and the other provisions on urban management.

The area, boundary and use period of agricultural and forest land in urban areas must be defined in the approved urban plans.

Article 8.- In completing files for first land assignments after the promulgation of the 1993 Land Law, the organizations and individuals that use land and the competent State management authorities (the People's Committees in the provinces and cities directly under the Central Government and the Ministries and agencies attached to the Government) shall review the requirements for land of each organization and individual. The land areas which exceed the requirements shall be recovered, and the land used not in line with law and stated purposes shall be considered for settlement in accordance with law.

Article 9.- The presidents of People's Committees in the provinces and cities directly under the Central Government, and the presidents of the People's Committees in urban areas are responsible for managing the unused lands in their urban localities.

The use and exploitation of the unused lands must be decided by the competent State authority in accordance with the provisions of the Land Law.

Chapter II

STATE MANAGEMENT OF URBAN LAND

Article 10.- The contents of management and use of urban land consist of the following:

1. To conduct investigations, surveys, measuring and drawing of administrative land maps and to set prices for urban land of different classes.

2. To make plans for urban development and use of urban land.

3. To assign and rent urban land.

4. To recover land for urban development.

5. To make policies and plans for infrastructure constructions using urban land.

6. To register and issue licenses for the right to use urban land.

7. To process files for assignment of the right to use urban land.

8. To inspect and settle disputes, complaints and denunciations, and handle acts of violation of urban land.

Article 11.- The Government exercises unified State management over urban land throughout the country.

The People's Committees at all levels shall exercise State management over urban land in their localities according to their jurisdiction stipulated in the Land Law.

The land administrations at the central and local levels are responsible before the Government and the People's Committees at corresponding levels in the management of urban land.

The agencies in charge of the management of urban development at the central and local levels are responsible before the Government and the People's Committees at corresponding levels in the planning for construction on and use of urban land.

Article 12.- The management and use of urban land shall comply with the plans for urban development and use of land already approved by the competent State authority, with this Decree and other related legal documents.

Article 13.- Plans for urban development include the master and detailed plans set and approved in accordance with the provisions for management of urban planning.

Article 14.- On the basis of the plan for urban development approved by the competent State authority, the People's Committees in the cities directly under the Central Government, the cities under provinces, towns and townships, shall work out plans for use of urban land for yearly, five-yearly and ten-yearly periods.

The content of the plan for use of urban land is composed of:

1. To determine the demand for urban land, mark off land areas, and plan the use of each land category for each period, along with conditions for the use of land.

2. To adjust the plan for use of urban land to make it suitable with the reality of transformation, construction and the whole process of urban development.

Article 15.-

1. The authority to approve and adjust plans for use of urban land is provided for in Article 18 of the Land Law.

2. The People's Committees at all levels shall, within their vested powers and responsibility, direct the specialized agencies to measure land, set land prices, assign and rent land, recover land, clear land sites and develop infrastructure in service of urban transformation and construction according to the approved programs and plans for use of urban land.

3. The Chief Architect or the Construction Office (in urban area where there is no Chief Architect) has the task of recommending sites for construction and issuing registration certificates for investment projects in accordance with the provisions on management of urban development.

Chapter III

ASSIGNMENT AND RENTING OF URBAN LAND

Article 16.- Organizations and individuals that have the need to use urban land, must file an application for land assignment.

The application file is composed of:

1. An application for land assignment.

2. The project for investment in construction (the eco-technical blueprint) already approved by the competent State authority.

3. The administrative land map or a detailed map on scales of from 1/200 to 1/100 of the target land area.

4. The plan for compensation.

This file must be sent to the land administration of the same level for inquiry and submitted to the People's Committee of the province or city directly under the Central Government for decision.

In case the land assignment authority is vested with the Government, the General Administration of Land and the People's Committee of the province or city directly under the Central Government shall submit it to the Government for decision.

Article 17.- The time limit for considering an application for land assignment and making the decision is 25 days form the reception of the complete file.

Beyond this time limit, the file-receiving agency must notify the applicant of the reasons for its delay in making a decision.

Article 18.- The implementation of the decision on assignment of urban land is defined as follows:

1. The People's Committees of the provinces, towns and districts have the responsibility to organize site-clearing work and direct the compensation for losses incurred by the recovery of land in their localities.

2. The land administration at provincial level shall process the recovery of land, organize the actual assignment of land in accordance with the land assignment decision, keep records on and monitor the changes in the fund of urban land.

Article 19.-

1. The on-site assignment of land shall be carried out only when the applying organizations and individuals have had the decision to that effect, paid the fees for use of land and for land administration and completed the compensation for losses, in accordance with the provisions of law.

2. The person who is assigned with land is responsible for declaring and registering his/her use of land at the People's Committee in the ward, commune or township which manages the land plot.

3. After receiving the assigned land, the assignee must immediately carry out preparations for the construction and start filing procedure to apply for the construction license.

In the event of a change in the purpose of land use, the assignee must report it to the assigning office for consideration and decision.

4. The use of the assigned land must progress in accordance with the pace specified in the project for construction investment already approved by the competent State authority.

If, within 12 months from the land assignment, the assignee has not started using the land without permission from the competent State authority, the decision for land assignment to him/her shall become void.

Article 20.- Organizations and individuals that have the need to rent urban land from the State must file application for land rent:

1. The file for renting urban land for use on only the site surface, without building permanent projects, is composed of:

a) An application for land rent.

b) The draft design for use of the surface of the target site, along with its literature.

c) The administrative land map of the target land area.

d) The recommendation of the municipal Chief Architect or Construction Office (in urban area where there is no Chief Architect).

2. The file, formality and procedure for applying to rent land for permanent construction works shall be conducted according to the provisions stipulated in Article 16, 17, 18 and 19 of this Decree.

Article 21.- The State rents land to Vietnamese organizations and individuals for use for the following purposes:

1. To have sites to serve the construction of works inside urban areas.

2. To use as storage yard.

3. To organize social activities such as camping, trade fair or festival.

4. To build permanent works under investment projects for development of production, business, services and housing.

The renting of land to foreigners shall be conducted according to a separate State regulation.

Article 22.- The land administration at provincial level shall consider and inquire into the application files for land rent and submit them to the competent State authority for decision.

The time limit for considering and deciding on an application file for renting land to use its surface is 20 days from the reception of the complete file.

Article 23.- After issuing the decision on renting land, the State-mandated agency shall sign the contract with the renting party.

The land renter has the obligations:

1. To use the rented land as purported.

2. To pay land rent and the land administration fee as provided for by law.

3. To comply with the land-rent contract.

4. On the expiry of the land rent, with regard to rents for use of the land surface, the renters shall return the site to its old state without damaging the related technical infrastructure before handing it over to the renting party.

Article 24.- With regard to a land plot which lies outside the inner city and the inner area of the town or township, but within the area covered by the urban development plan already approved by the competent State authority, during the period before its use, the People's Committee of the province or city directly under the Central Government may consider a timed assignment or rent, on condition that the use of the land plot shall not hamper the process of urban development.

Article 25.- The Ministry of Finance shall make provisions for the collection and use of the land administration fees and the fees on issuing registration certificates.

Chapter IV

CONSTRUCTION OF INFRASTRUCTURE DURING USE OF URBAN LAND

Article 26.-

1. Urban land must be built with infrastructure when it is put in use.

2. The State shall invest in transforming and building for common use by the entire urban area infrastructure projects which are not able to generate direct returns on capital, or it shall assign to businesses, in the form of bidding or contractor selection, the construction of infrastructure works which are able to generate direct returns on capital.

3. Organizations and individuals shall build infrastructure works on the land plots assigned by the State in strict compliance with the plans and investment projects already approved by the competent State authority.

Article 27.- The use of the land fund to generate capital for construction of infrastructure works and the assignment of land for businesses to invest in projects for infrastructure development in urban areas shall be determined by the Prime Minister.

Chapter V

RECOVERY OF LAND FOR URBAN DEVELOPMENT

Article 28.- The recovery of land for urban development is defined in the following details:

1. The recovery of land under use for construction of infrastructure for public service and other works of public interest in implementation of planned urban transformation and construction and other approved major projects, shall be decided by the competent State authority.

2. Before recovering the land, the competent State authority must notify the users of the land the reasons for the recovery, the plan for moving and the scheme for compensation for the losses in land and property associated with the land.

The compensation for the losses incurred by the land users affected by the recovery decision shall be conducted in accordance with a separate Government provision.

3. The users whose land is subject to recovery must strictly obey the State decision for recovery of their land.

In case the users deliberately refuse to obey the decision of land recovery of the competent State authority, they shall be forced to move out of the land plot.

Article 29.- In recovering land for construction of new cities or new urban areas, the People's Committees in the provincial cities, towns and districts shall work out and implement schemes for moving the population, clearing the sites and creating the necessary and stable conditions for life of the land users affected by the recovery decision.

Article 30.- With regard to organizations and individuals that volunteer to transfer the land, or pass it on as an inheritance or a present, and in case of change of house ownership or other forms of assignment of lawful land-use right, the compensation, moving and site clearance shall be done by mutual consent. The State shall carry out the recovery and assignment of land according to the provisions of law.

Chapter VI

REGISTRATION AND ISSUE OF CERTIFICATES OF LAND USE RIGHT IN URBAN AREAS

Article 31.-

1. All organizations and individuals using urban land must register in order to be issued with certificates of land use right by virtue of the Land Law of 1993.

2. Land users at a ward, commune or township shall register at the People's Committees of the ward, commune or township where the land is located.

3. The land associated with houses or other constructions must register at the land registry. The land user shall be granted the certificate of land use right associated with the ownership right over houses or other constructions and architectures on it.

Article 32.- The consideration for the issue of certificates of land use right to land users is defined as follows:

1. An individual who is using land shall be issued with the certificate of land use right if he has one of the following conditions:

a/ He has regular papers issued by the authorized agencies of the State of the Democratic Republic of Vietnam, the Socialist Republic of Vietnam or the Provisional Revolutionary Government of South Vietnam.

b/ He is using the land provided with regular papers issued by the authorized agency of the old regime, and free from dispute over the land use right, and not belonging to the category of land which must be handed over to others by virtue of the policies of the Sate of the Democratic Republic of Vietnam, the Socialist Republic of Vietnam or the Provisional Revolutionary Government of South Vietnam.

c/ He has implemented or committed himself to implement all financial obligations to the State with regard to the land use right.

2. An individual, who is using urban land having a legal source stipulated at Item 1 of this Article but has lost his regular papers while still meeting the conditions stipulated at Article 33 of this Decree, shall also be considered for the issuance of the certificate of land use right.

3. An organization, which meets the conditions stipulated at Item 1 and 2 of this Article and which applies for a certificate of land use right, is eligible for consideration by the People's Committee of the province or city directly under Central Government, if it has filled the procedure stipulated at Article 8 of this Decree.

4. An organization, which has been allotted land by the State for use in the construction of public utility projects stipulated in Article 58 of the Land Law, is eligible for consideration by the People's Committee of the province or city directly under the Central Government for the issuance of the certificate of land use right, if it has filled the procedure stipulated at Article 8 of this Decree.

Article 33.- The person, who is using urban land but who does not have the regular papers as stipulated in Article 32 of this Decree, is nevertheless eligible for consideration for the issuance of certificate of land use right if he meets all the below-listed conditions:

1. The land being used is compatible with the urban development plan already endorsed by the authorized State agency.

2. If involves no dispute or is not subject to a decision on land recovery by the authorized State agency.

3. It does not infringe upon public infrastructure works and the protection corridors of the urban technical works.

4. It does not infringe upon the land of the historical, cultural or religious constructions already recognized by the State.

5. The user has paid the land use tax and commits himself to discharge his financial obligations to the State regarding the use of land.

Article 34.- The land user shall have to obey the decision of the authorized State agency on land recovery if he is refused the certificate of land use right.

Article 35.- The dossier of application for a certificate of land use right shall comprise the following:

1. An application for a certificate of land use right.

2. The regular papers to prove the land use right. In the absence of regular papers on land use right, the dossier receiving agency must make continuous public announcements in the local press. If no dispute arises after 30 days, the authorized State agency shall consider the issuance of the certificate.

3. A map of the lot of land concerned.

Article 36.- The General Land Administration shall provide concrete guidance for the issue of certificates of land use right.

Chapter VII

PROCEDURE FOR TRANSFER OF LAND USE RIGHT IN URBAN AREAS

Article 37.-

1. The procedure for the transfer of land use right in urban areas shall be done at the Office of the People's Committee of the city directly under the province, or of the town or district.

2. The procedure for the assignment of land use right in urban areas is done at the People's Committee of the province or city directly under the Central Government.

3. The transferrer of land use right in urban areas must pay tax and other regulatory remittances as prescribed by law.

Article 38.- The transfer of land use right in urban areas belonging to many users must have the written consent of all these users.

Chapter VIII

ORGANIZING THE IMPLEMENTATION

Article 39.- The person who violates regulations on the management and use of urban land shall, depending on the extent of the violation, be disciplined, subject to administrative sanctions or investigated for penal liability.

Article 40.- This Decree replaces Decree No.47-CP on the 15th of March 1972 of the Government Council, and takes effect as from the 15th of October 1993. All earlier regulations contrary to this Decree are now annulled.

The Ministry of Construction, the General Land Administration shall have to guide and inspect the implementation of this Decree.

Article 41.- The ministers, the heads of the ministerial-level agencies and agencies attached to the Government, the presidents of the People's Committees of the provinces and cities directly under the Central Government shall have to implement this Decree.

For the Government

Prime Minister

VO VAN KIET